Member Sign In

You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating indiv idual securities.

If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.

CF Industries Declares $1.25B Senior Secured Notes Offering

CF Industries Holdings, Inc. (CF - Free Report) declared that its fully-owned subsidiary CF Industries, Inc. plans to offer $1.25 billion aggregate principal amount of senior secured notes, subject to market and other conditions. The notes will be guaranteed on a senior secured basis, jointly and severally, by CF Industries and some of its domestic subsidiaries that will guarantee obligations under CF Industries’ revolving credit facility.

CF Industries plans to utilize the net proceeds from the offering, along with cash on hand and/or borrowings under its revolving credit facility, to prepay the $1 billion principal amount of its senior notes due 2022, 2025 and 2027 and to pay the associated make-whole amount and related fees and expenses. The company plans to utilize the proceeds for general corporate purposes in case there is an amount which is in excess of amount required for the senior notes prepayment, including the make-whole amount, and related fees and expenses.

The notes have not been registered under the Securities Act of 1933, as amended, or any state securities laws and, unless so registered, may not be offered or sold in the U.S.

CF Industries recently posted a loss of $30 million or 13 cents per share for the third quarter of 2016, as against a profit of $90 million or 39 cents per share recorded a year ago.

Barring one-time items, earnings were 13 cents per share for the quarter, down from 54 cents per share recorded a year ago. However, the figure beat the Zacks Consensus Estimate of 5 cents.

Sales declined roughly 26.7% year over year to $680 million in the quarter, and missed the Zacks Consensus Estimate of $780 million. Sales declined in the quarter due to reduced average selling prices across all segments.

Celanese carries a Zacks Rank #2 (Buy) and has an expected earnings growth of around 9.4% for the current year.

Confidential from Zacks

Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>

Resources

Client Support

Follow Us

Zacks Research is Reported On:

Yahoo

MSN

Marketwatch

Nasdaq

Forbes

Investors.com

Morningstar

Copyright 2017 Zacks Investment Research

At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. Since 1988 it has more than doubled the S&P 500 with an average gain of +25% per year. These returns cover a period from 1988-2016 and were examined and attested by Baker Tilly Virchow Krause, LLP, an independent accounting firm. Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. A simple, equally-weighted average return of all Zacks Rank stocks is calculated to determine the monthly return. The monthly returns are then compounded to arrive at the annual return. Only Zacks Rank stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations. Zack Ranks stocks can, and often do, change throughout the month. Certain Zacks Rank stocks for which no month-end price was available, pricing information was not collected, or for certain other reasons have been excluded from these return calculations.

Visit performance for information about the performance numbers displayed above.